Nevada Considers Stronger Power of Attorney Laws
By: State: Nevada | Source: AARP.org
Why It Matters to Older Adults
A power of attorney is a legal document used by an individual to empower another to act on their behalf, often aimed at allowing the appointed agent to act when an older person no longer can. As the population ages, the power of attorney will be used with increasing frequency to appoint trusted family members or others to handle financial decision-making—but it can also be a “license to steal” because it grants broad powers without any oversight or clear standards for agent conduct.
Older adults are disproportionately affected by the fraudulent use of financial powers of attorney and will benefit from additional consumer protections.
Nevada Power of Attorney Laws Too Weak
Nevada current state laws lack protections for individuals creating financial powers of attorney, according to report produced by AARP’s Public Policy Institute. In fact, the Nevada statute addressing Powers of Attorney is so vague that it causes problems for those who choose to set up a Power of Attorney.
Nevada banks often refuse to accept Powers of Attorney due to the inadequacy of the Power of Attorney statute. This leaves those incapable of making financial decisions without the assistance they sought when they gave Power of Attorney to their designee, and often forces the state to get involved.
State Senator Sponsors Bill
During the 2009 legislative session, Nevada State Senator Bernice Matthews sponsored a bill (SB314) which adds consumer protection provisions from the Uniform Power of Attorney Act (UPOAA), a model law that lays the groundwork for keeping older adults safe from financial fraud, while allowing them to plan for the future. AARP Nevada has supported this bill through testimony and advocacy with our grassroots activists and members.
Bill Passes through the State Legislature
As the 2009 legislative session winds down, it appears likely that the bill will become law. The bill has passed through both houses, and only awaits Governor Gibbons’ signature. This means that there will be better oversight of appointed Power of Attorney agents and clear standards for those agents to follow. More legal protections will also be in place for those who need to appoint a Power of Attorney.
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